CAMBRIDGE, Mass. — Dollar General is the overall basket price leader, delivering a substantial savings to value shoppers, according to Kantar Retail's second annual opening price point survey. Walgreens, for the second year, had the most expensive total basket, driven by sharply higher edible and nonedible grocery baskets.

The Kantar survey measures how selected retailers are meeting the cross-category needs of the low-income shopper who is seeking the lowest prices to fulfill basket requirements. Kantar selected twenty categories across the edible grocery, nonedible grocery, and health and beauty aids (HBA) segments. The study was expanded this year to include Dollar General, along with the same six retailers surveyed in 2011, including Walmart, Stop & Shop, Family Dollar, Aldi, Target and Walgreens. Retailers included in the survey are located in northeastern United States.

The study found that among them, Dollar General offered an 18% overall basket savings, driven by lower OPPs in its edible and nonedible baskets, representing a substantial savings to the value shopper. Meanwhile, Walmart offered the second-cheapest overall basket, though 18% higher than the OPP basket at Dollar General.

"Dollar General's basket price leadership at the OPP level is impressive," said Leon Nicholas, Kantar Retail SVP and contributor to the study. "Though Walmart had a less expensive HBA basket, the retailer’s assertion of overall basket price leadership to the value-focused shopper on an everyday basis was not established by our study."

According to Nicholas, the results of the study suggest that temporary price cuts to create the perception of a price advantage, will not win the battle for the value shopper's dollar. Instead, aggressive, everyday pricing across categories will be a requirement to overtake Dollar General's advantage at the opening price point, he said.

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